Ripple has recently submitted a letter to the SEC, asserting its position on the use of decentralization as a regulatory benchmark. According to the official information, the company argues that decentralization should not be viewed as a binary measure but rather as a spectrum, which complicates its application in legal contexts.
Ripple's Call for Legal Clarity
In its correspondence, Ripple highlights the importance of establishing a clear legal distinction between securities transactions and the digital assets involved. The company warns that conflating these concepts could lead to significant confusion in secondary markets, potentially hindering the growth and clarity of the digital asset space.
Advocating for Tailored Disclosure Rules
Furthermore, Ripple advocates for the implementation of tailored disclosure rules specifically designed for digital assets. The company believes that existing anti-fraud and market manipulation laws are adequate to address regulatory concerns, suggesting that there is no need to impose traditional corporate registration frameworks on digital assets.
In a recent discussion, Kyle Samani criticized MSCI's stance on digital asset holdings, highlighting the tension between traditional finance and blockchain. This contrasts with Ripple's call for regulatory clarity in its recent letter to the SEC. For more details, see read more.
